Mind The Sell Flow

We’re coming under a decent bit of selling pressure as we enter the lunch hour.  Most of my longs are red, but with cash at 33% (oh yeah) and most charts holding up well, I haven’t made any sales this morning.  Should we lose 1514 as I mentioned earlier, and sustain trade below that level, I may take profits and raise a bit more cash.

Not all is weak today.  I’ve been very interested in the Japan trade this year partially by Fly’s highlighting the space, and partially by a few good friends in the country who like the new leadership and their prospects going forward.  Thus I’ve been stalking EWJ, HMC, TM, NMR, MTU, PC, and CAJ.  The Nikkei dipped over 1% last night and these names have dipped as well.  A few of them are offering enticing entries today.  Depending on the afternoon session, I may begin allocating capital into a few of these names.  With the US markets running hot, I may allocate up to 20% of my capital into these names.  These ADRs do most of their movement overnight, so swing trade is really the only way to trade them.

Let’s see where this selling takes us.  I’m laying off the throttle a bit.  I went hunting for stock picks last night and this morning, but nothing is matching the picture I want.  Chinese burrito HTHT looks decent.

I cut GNRC yesterday at the close (aka low of day) and when I saw the Goldman downgrade early this morning I thought I made the right move.  Shares are up almost 5% and I think this stock is still a winner.